Some claim a transcontinental railroad will control more than half the freight market. The facts say otherwise.

Todd Rynaski, Union Pacific’s senior vice president-Strategy, explains why a combined Union Pacific-Norfolk Southern represents less than 11% of the nation's freight transportation market, preserves competitive options for customers and creates a stronger alternative to highway shipping.

Transcript:

Some opponents of the Union Pacific-Norfolk Southern combination want customers to believe a transcontinental railroad will control more than 50% of the freight market. But the facts tell a different story.

Rail accounts for just 27 percent of U.S. freight ton miles, meaning a combined Union Pacific-Norfolk Southern represents less than 11 percent of the nation's freight transportation market.

Even within rail, the numbers don't support the claim. The combined railroad accounts for approximately 40 percent of U.S. rail ton miles and about 43 percent of U.S. carloads.

Just as important, customers won't lose competitive options. There will still be two major railroads in the West and two in the East.

What changes is the connection between them. A seamless transcontinental network will reduce handoffs, improve reliability, and help freight move faster from origin to destination.

And here's another important fact: BNSF already holds a market share of 50 percent or more in each of the top 10 intermodal lanes where it competes with Union Pacific. Those are actual freight movements happening today, not future projections.

Highlighting an important point: market share statistics alone don't tell the full story. The real opportunity created by the Union Pacific-Norfolk Southern combination is growth, because the rail industry's biggest competition is on the highway.

By creating a seamless coast-to-coast service product, the combined railroad will attract roughly 2.1 million truckloads to rail annually, giving customers a stronger alternative to long-haul trucking while helping reduce highway congestion.

The bottom line is simple: this combination strengthens rail's ability to compete. It expands customer choice and creates a faster, more reliable coast-to-coast service option for shippers across America.

That's the promise of America's first transcontinental railroad.